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Agenda 10/13/2020 Item #17A (Ordinance - Amending Procurement Ordinance)10/13/2020 EXECUTIVE SUMMARY Recommendation to approve an amendment adopting revisions to Ordinance No. 2013-69, as amended, commonly known as the Collier County Procurement Ordinance to incorporate references pertaining to the County’s Direct Materials Purchase cost-savings program. _____________________________________________________________________________________ OBJECTIVE: To approve an amendment to Ordinance No. 2013-69, as amended, commonly known as the Collier County Procurement Ordinance, to incorporate references pertaining to the County’s Direct Materials Purchase cost-savings program. CONSIDERATIONS: On December 10, 2013, the Board adopted Ordinance No. 2013-69, which was subsequently amended through the adoption of Ordinance No. 2015-37, Ordinance No. 2015-51, Ordinance No. 2016-11, Ordinance No. 2016-19, and Ordinance No. 2018-38. On September 22, 2020, (Agenda Item #16.E.12) the Board authorized the County Attorney to advertise the amending Ordinance, which Ordinance was duly advertised amending the following sections: *** SECTION THREE: Applicability and Approved Thresholds. *** 5. The Board of County Commissioners encourages the implementation of cost savings measures, processes, and procedures as part of its various adopted procurement methods including but not limited to Direct Material Purchase (DMP), P-Card purchases, and bulk purchases as may be in the best interest of the County. In furtherance of implementing cost saving measures, such as Direct Material Purchases and the Board of County Commissioner’s other adopted methods of procurement, the Board delegates to the County Manager or his designee, the authority to manage and administer the procedures, processes and measures necessary to maximize the purchasing value of public funds expended i n the procurement of materials. *** SECTION FOUR: Definitions. *** Direct Material Purchase is a cost savings measure to achieve sales tax savings through the County’s sales tax exemption by purchasing materials directly with a supplier or vendor. Other sa vings may be achieved in the Direct Materials Purchase process through the use of Purchasing Cards, rebates, discounts, and other cost savings measures. *** SECTION SIX: Duties of Procurement Services Division. *** 7. Tax Exemption: Procuring items for the County to exercise its tax exemption status when eligible, to include: a. Establishing and administering of a Direct Materials Purchasing Program that includes processes and procedures to encourage implementation of such savings programs and the application of such related cost savings measures where it is in the best interest of the County. 17.A Packet Pg. 2400 10/13/2020 b. Developing and implementing other tax saving and cost saving opportunities and means related to purchasing and procurement. *** SECTION EIGHT: Exemptions from Competitive Process. *** 13. Direct purchase orders issued when it is in the best interest of Collier County. Collier County may make direct purchases of goods and services when the County can procure these items at a lower cost and/or realize a tax or delivery savings. Direct Material Purchase Orders derived out of Direct Material Purchases and/or other cost savings measures may be administered through contracts procured through Requests for Quote (RFQ), Invitation to Bid (ITB), Construction Invitation to Bid (ITB), Request for Proposals (RFP), Invitation for Qualifications (IFQ), Construction Manager at Risk (CMAR), Design Build, Progressive Design Build, and Invitation to Negotiate (ITN) as may be applicable and or available. *** SECTION SIXTEEN: Payment of Invoices. *** 1. Agencies under the purview of the Board of County Commissioners shall be in compliance with F.S. § 218.70, otherwise known as the "Local Government Prompt Payment Act." Pursuant to this, the requirements of this section shall apply to the following transactions: *** d. Direct Material Purchases. *** Staff recommends that the Board approve the proposed amendment to the Procurement Ordinance, which incorporates the above identified revisions, to promote cost -savings in the procurement of materials on County projects and increase the efficiency and ease of administration in implementing such purchases. FISCAL IMPACT: There is no fiscal impact associated with this Executive Summary at this time. GROWTH MANAGEMENT IMPACT: N/A. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board approval. -SRT RECOMMENDATION: To approve the attached amendment to Ordinance No. 2013-69, as amended, commonly known as the Collier County Procurement Ordinance to incorporate references pertaining to the County’s Direct Materials Purchase cost-savings program. Prepared by: Sandra Herrera, Director, Procurement Services Division ATTACHMENT(S) 1. Legal Ad - Amend Ord. 13-69 (PDF) 2. Procurement Ordinance Amending Ordinance No. 2013-69 (PDF) 17.A Packet Pg. 2401 10/13/2020 COLLIER COUNTY Board of County Commissioners Item Number: 17.A Doc ID: 13669 Item Summary: Recommendation to approve an amendment adopting revisions to Ordinance No. 2013-69, as amended, commonly known as the Collier County Procurement Ordinance to incorporate references pertaining to the County’s Direct Materials Purchase cost-savings program. Meeting Date: 10/13/2020 Prepared by: Title: Manager - Procurement – Procurement Services Name: Sandra Herrera 09/23/2020 1:43 PM Submitted by: Title: Manager - Procurement – Procurement Services Name: Sandra Herrera 09/23/2020 1:43 PM Approved By: Review: Procurement Services Sandra Herrera Additional Reviewer Completed 09/23/2020 1:46 PM Administrative Services Department Paula Brethauer Level 1 Department Reviewer Completed 09/23/2020 1:49 PM Administrative Services Department Len Price Level 2 Department Head Review Completed 09/28/2020 3:04 PM County Attorney's Office Scott Teach Level 2 Attorney Review Completed 09/30/2020 4:31 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 09/30/2020 4:36 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 10/02/2020 8:48 AM Budget and Management Office Mark Isackson Additional Reviewer Completed 10/02/2020 10:29 AM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 10/04/2020 12:58 PM Board of County Commissioners MaryJo Brock Meeting Pending 10/13/2020 9:00 AM 17.A Packet Pg. 2402 17.A.1 Packet Pg. 2403 Attachment: Legal Ad - Amend Ord. 13-69 (13669 : Approve Amendment to Procurement Ordinance No. 2013-69 for DMP Program) 17.A.2Packet Pg. 2404Attachment: Procurement Ordinance Amending Ordinance No. 2013-69 (13669 : Approve Amendment to Procurement Ordinance No. 2013-69 17.A.2Packet Pg. 2405Attachment: Procurement Ordinance Amending Ordinance No. 2013-69 (13669 : Approve Amendment to Procurement Ordinance No. 2013-69 17.A.2Packet Pg. 2406Attachment: Procurement Ordinance Amending Ordinance No. 2013-69 (13669 : Approve Amendment to Procurement Ordinance No. 2013-69 17.A.2Packet Pg. 2407Attachment: Procurement Ordinance Amending Ordinance No. 2013-69 (13669 : Approve Amendment to Procurement Ordinance No. 2013-69